Alcohol and beer in Australia: A brewers view James Brindley - - PowerPoint PPT Presentation

Alcohol and beer in Australia: A brewer’s view

James Brindley

Managing Director Lion Australia

Fermentation equals Civilisation. “ ”

Introducing Lion

• Largest brewer in Australia
• #1 beer
• Most popular craft beers
• Premium winemaker
• 8 breweries, 4 wineries
• >1,500 people employed

Today’s topics

• 1. Changing alcohol landscape

in Australia

• 2. Building a positive drinking

culture

• 3. Beer’s challenges

and opportunities

• 4. Creating a vibrant beer

culture

A changing alcohol landscape in Australia: Australians are drinking less.

2 4 6 8 10 12 14 16 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003 2006 2009 2012 2015

Beer Wine Spirits/RTDs Cider

Australian Adult Per Capita Consumption of Pure Alcohol (L)

Source: ABS. ABS Apparent Consumption of Alcohol. www.abs.gov.au. [Online] 2013-2014. http://www.abs.gov.au/ausstats/abs@.nsf/mf/4307.0.55.001/

2 4 6 8 10 12 14 16 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003 2006 2009 2012 2015

A changing alcohol landscape in Australia: Four trends behind this.

Australian Adult Per Capita Consumption of Pure Alcohol (L)

Ageing population Diverse population Health & Wellbeing ‘Generation Moderate’

Source: ABS. ABS Apparent Consumption of Alcohol. www.abs.gov.au. [Online] 2013-2014. http://www.abs.gov.au/ausstats/abs@.nsf/mf/4307.0.55.001/

15 20 25 30 35 2007 2010 2013

18-24 25-29 30-39 40-49 18+

20.5 20.5 18.2 29.2 29 26.4 15 20 25 30 35 2001 2007 2013

Lifetime risk Single occasion risk 2007 2010 2013 12-17 yo’s abstaining 56.5% 63.6% 72.3% % of 12-17 yo’s drinking at lifetime risky drinking patterns n/a 4.2% 2.6% % of 12-17 yo’s drinking risk of harm

• n that occasion

n/a 14.1% 8.7% Average age of first drink 15.0 15.2 15.7

A changing alcohol landscape in Australia: A positive shift in our drinking culture…

Source: Australian Institute of Health and Welfare, National Drug Strategy Household Survey, 2013

Continued downward trend in underage drinking and a sustained increase in the age of initiation. Lifetime risky drinking risk

• n the decline

(More than 2 std drinks/day

• n average)

Lifetime and single-

• ccasion risk

amongst 14+ yo’s in decline

% in 2001-13

A changing alcohol landscape in Australia: …met by a staunch opposition from health lobby.

Reducing per capita consumption will reduce harm. There is no role for the alcohol industry in policy development.

2. 1. 3.

There is no safe level

• f alcohol consumption.

A vibrant hospitality industry and safer drinking culture – fundamental to our industry’s sustainability.

As an industry, must work together to create a positive drinking culture. Invest significantly in initiatives to achieve this. We can’t get complacent – need to continue to build on progress.

Working collaboratively with

• ur industry colleagues.
• Work

collaboratively with industry colleagues

• Ensure an

informed debate about alcohol policy

• Counter

misinformation, contribute to evidence base

• Develop

effective policies that target misuse

Pan-industry body: all alcohol sectors and channels

• Fully funded by

industry; governed by a balanced Board

• Campaigns focus on primary influences
• f drinking behaviour:

− Peer group norms − Parental drinking behaviour − At-risk groups (e.g. indigenous communities, pregnant women)

• Promote a generational

change in the way Australians consume alcohol

• Increase the age that

young Australians are introduced to alcohol.

DrinkWise Australia – building a healthier and safer drinking culture through behaviour change.

The Campaign ‘Kids absorb your drinking’

The Campaign ‘Drinking – Do it Properly’

• Focused on shifting behaviour

amongst 18-24 year olds

• Hard to reach audience;

unresponsive to ‘shock and awe’ campaigns

• Aim: to make binge drinking

less socially acceptable; encourage those who drink in moderate way to continue doing so

Positive Behaviour Shifts

• 2 million views
• 57,000 shares in first 4 weeks
• Strong Facebook engagement

Of those who saw the campaign:

• 33% reported they were drinking

less after seeing it. Why? − 26% to ‘stay classy’ − 20% to ‘drink within their limits’ − 17% to ‘be more responsible’

Understanding Drinking Cultures in Australia and New Zealand

• Lion-

commissioned study, 2015

• Violence in night-time

entertainment precincts the subject of

• ngoing debate
• Look at other

cultures around the world with similar drinking patterns; identify if same issues exist

• Social and cultural drivers
• f anti-social behaviour

and violence

• What can be done to

create a safer night out?

White paper: Understanding behaviour in the Australian and New Zealand night-time economies

Find the full report at: https://www.lionco.com/media-centre

Today’s topics

• 1. Changing alcohol landscape

in Australia

• 2. Building a positive drinking

culture

• 3. Beer’s challenges

and opportunities

• 4. Creating a vibrant beer

culture

Challenges and opportunities for beer: Little understanding of beer and brewing

• f people don’t know

what’s in beer. made by people who are passionate about what they do.

Source: Fifityfive Five. Vibrant Beer Culture research conducted on behalf of Lion. October 2013.

88% 58% 33%

Wine Beer

• 1. “Lager”
• 2. “Light”

Top 2 styles of beer known

71% 69% 94% 62%

Challenges and opportunities for beer: Myths and misconceptions of beer

think beer is fattening. think beer contains preservatives.

• ver-estimate

the sugar content. believe it is high in carbohydrates.

Source: Fifityfive Five. Vibrant Beer Culture research conducted on behalf of Lion. October 2013.

Challenges and opportunities for beer: Shift in how Australians are socialising

From: To:

Glass half full for beer: How the beer industry is evolving

Value growth through innovation and premiumisation. Growth of mid-strength segment - moderation Contemporary and International brands – step up Craft – rekindling consumer interest in beer More brewers in Australia than ever before >350 craft breweries

Creating a Vibrant Beer Culture:

Creating a Vibrant Beer Culture: Making it part of our business strategy

= Beer ‘vibrancy’ index

• 1. Beer is an important part of my life.
• 2. I would miss beer if it did not exist any longer.
• 3. I love beer.
• 4. I am always talking about beer with

my friends, family and colleagues.

• 5. Beer has a positive influence on

the Australian way of life.

• 6. The beer category is constantly evolving

for the better over time – it’s ever changing.

• 7. Beer is exciting and dynamic.
• 8. I actively look out for what’s new

in the beer category.

• 9. Beer is more than just a drink to me,

it stands for something bigger.

Affinity Amplification Evolution Involvement

Creating a Vibrant Beer Culture: Beer the Beautiful Truth

• Long-term initiative

aimed at educating and informing consumers

• Busting myths

and sharing facts

• Being transparent about

nutrition information

More information about beer To know about sugar content Nutrition info on packaging

• Campaign informed by consumer
• research. Consumers wanted:

Creating a Vibrant Beer Culture: Beer the Beautiful Truth

71% of Australians said this information would make them make more informed choices about what to drink.

32.7 34.2 33.2 34.6

31.0 31.5 32.0 32.5 33.0 33.5 34.0 34.5 35.0

MQT Mar 15 MQT Apr 15 MQT May 15 MQT Jun 15 MQT Jul 15 MQT Aug 15 MQT Sept 15 MQT Oct 15 MQT Nov 15 MQT Dec 15 Beer VBC

Creating a Vibrant Beer Culture: How are we tracking?

NIPs & Fact Buttons introduced Campaign Live Above the Line